In his Ad Week article, Hipcricket CMO Jess Hasen said that over 237 million mobile subscribers have not been asked — by way of a brand’s mobile marketing campaign or any other method of communication — to join a customer loyalty program. If they had been approached, some 106 million people said they would have joined if the invitation was from a brand they knew and trusted.
Mr. Hasen goes on to theorize that on the whole marketers are as yet unwilling to deviate from the tried-and-true practices of the advertising industry. He then gives some examples of companies who have experienced success in novel approaches to mobile marketing campaigns including HBO, Target and Dairy Queen. These large brand names are not only adding text marketing techniques to their advertising programs, they’re excelling at it.
Ad strategy can be straight-forward SMS marketing: customers opt-in to receive monthly coupons and specials; or it can be a staggered approach. In the latter, the marketer offers the chance to win a prize through a draw. Those who text in to enter the draw receive an invitation to join a customer-loyalty program or some other type of club. When HBO ran their two-tier text marketing campaign, almost 70 percent of those who received the invitation did opt in to join.
Every marketer will agree that repeat and loyal customers need to be cultivated and should be rewarded for their ongoing business. If brands don’t recognize the importance of mobile marketing and learn how to use it effectively, they stand to lose out on two counts. The first is that they are missing an entire stream of potential customers who have either never heard of the brand or heard of it but not shopped there. The second is that they are not utilizing a simple and effective method of direct client communication which can help nurture the allegiance of current customers.